The great debt crash

[TOM4CWB]

There is just over $9Trillion in deposits in the US banking system….

The FDIC $250,000 per account covers about $150Billion… of the $9 Trillion on deposits.

The smaller tier 2 Banks were Required to buy the Treasures… by the Regulators…

Apparently PayPal put out a Tweet last Thursday to pull the money out of SVB… causing the contagion snowballing the $42 Billion withdrawal in one day… virtually impossible to cover for SVB.

The Fed is required to back the the $9T system…

The Pandemic banking with our internet and deposits using our smart phones…./internet transfers…. Has irreversibly changed the speed and volume of currency movements.

Interesting times!!!

Cheers

[errolanderson]

Powell stated that rates cuts aren’t on the table this year (as sweat pooled on his brow). Translation, central banks will cave and cut rates possibly this summer (IMO).

Central bank policy fallout has been enormous. Policy foresight? Can a central banker be fired? Inflation is now the least of Powell’s concerns.

It’s a full-on credit crisis. Now banks won’t lend to banks. Investors, deer-in-the-headlights assuming central bank manipulation will always be there to clean up the mess . . . .

[shtferbrains]

How can our government claim to be fighting inflation by pushing up interest rates and then increase the carbon tax that inflates the price of everything?

[AlbertaFarmer5]

How can our government claim to be fighting inflation by pushing up interest rates and then increase the carbon tax that inflates the price of everything?
[ATTACH]12247[/ATTACH]

And that cost increase is built into every single product and service in the entire economy, multiple times over in many cases, the only possible way to achieve a 2% inflation Target is to have the economy shrinking faster than the CO2 tax is increasing.

[errolanderson]

Irresponsible government spending, lack of accountability, plus a naive generation expecting to work less for more social benefits is forcing taxes sharply higher. This isn’t real and sustainable inflation.

This leads us straight into the current debt crisis and accelerating asset deflation. Banks are in a serious crisis.

This situation far worse than 2008, because of prolonged central bank manipulation. Credit crisis will deepen into 2024 and 2025 (IMO).

[jazz]

How can our government claim to be fighting inflation by pushing up interest rates and then increase the carbon tax that inflates the price of everything?

The intelligence of the average canadian is going down way faster than the rate of inflation.

They voted for this and were bought off with those miniscule carbon tax rebates that didnt even come close to covering the increased costs. But getting a cheque in the mail has a big effect on some people even if its only for $200.

Now that credit is being pulled from the system, your recession is baked in. They can print all the money they want but if it cant get off the computer and into the so called real economy, then that is a contraction.

[AlbertaFarmer5]

The intelligence of the average canadian is going down way faster than the rate of inflation.

They voted for this and were bought off with those miniscule carbon tax rebates that didnt even come close to covering the increased costs. But getting a cheque in the mail has a big effect on some people even if its only for $200..

I think this issue is much more malicious than Just gross ignorance and greed. I think the average low information voter really bought into the idea that the CO2 tax is disproportionately paid by big emitters / big corporations. The enthusiasm for the stick it to the man mantra, and consequences be damned is stronger than ever, just read the posts by our own resident socialist low IQ voters on this website.

[Hamloc]

Just gross ignorance and greed. I think the average low information voter really bought into the idea that the CO2 tax is disproportionately paid by big emitters / big corporations. The enthusiasm for the stick it to the man mantra, and consequences be damned is stronger than ever, just read the posts by our own resident socialist low IQ voters on this website.

Simple reality is it is consumers that get the carbon tax rebate, business does not, consumers vote, businesses don’t. Imagine the carbon tax payed per year by the average trucking company with no rebate and that goes up 30% April 1. And yes there is no doubt leaning to left politically lowers your real world IQ!!!

[Old Cowzilla]

For some reason consumers don't understand that the big box stores pass the rise in shipping costs down to them. April 1 inflation will rise for joe six pack doesn't matter what the price of million dollar shacks in Toronto or 2023 3/4 ton trucks does.

[fjlip]

All good answers that those in charge never understand. or they do and WANT to undo the country.